Proposal for the award of two contracts for the supply of fine-blanked austenitic steel yoke laminations and inserts for the cold masses of the LHC superconducting dipole magnets

This document concerns the award of two contracts for the total supply of 642 000 fine-blanked austenitic steel yoke laminations, of two different types, and 642 000 inserts for the cold masses of the LHC superconducting dipole magnets. Following a market survey carried out among 70 firms in sixteen Member States and one firm in Japan, a call for tenders (IT-2700/LHC/LHC) was sent on 3 June 1999 to seven firms in four Member States and one firm in Japan. By the closing date, CERN had received five tenders. The Finance Committee is invited to agree to the negotiation of two contracts with: - ELAY INDUSTRIAL (ES) for the supply of 324 000 fine-blanked austenitic steel yoke laminations of the first type and the corresponding number of inserts, which represents the total required quantity of laminations of the first type and of corresponding inserts for the cold masses of the LHC superconducting dipole magnets, for a total amount of 481 814 euros, which at the exchange rate given in the tender correspond to 770 841 Swiss francs, subject to revision for contractual deliveries after 31 December 2001, with an option for the supply of up to 318 000 fine-blanked austenitic steel yoke laminations of the second type and the corresponding number of inserts, for a total amount of up to 468 280 euros, which at the exchange rate in the tender correspond to 749 188 Swiss francs, subject to revision for contractual deliveries after 31 December 2001, bringing the total amount to a maximum of 950 094 euros, subject to revision for contractual deliveries after 31 December 2001. At the exchange rate given in the tender, this amount is equal to approximately 1 520 029 Swiss francs. - MALVESTITI (IT) for the supply of 318 000 fine-blanked austenitic steel yoke laminations of the second type and the corresponding number of inserts, which represents the total required quantity of laminations of the second type and of the corresponding inserts for the cold masses of the LHC superconducting dipole magnets, for a total amount of 876 845 Swiss francs, subject to revision for contractual deliveries after 31 December 2001, with an option for the supply of up to 324 000 laminations of the first type and 324 000 inserts, for a total amount of up to 836 645 Swiss francs, subject to revision for contractual deliveries after 31 December 2001, bringing the total amount to a maximum of 1 713 490 Swiss francs, subject to revision for contractual deliveries after 31 December 2001. The firms have indicated the following distribution by country of the work covered by this adjudication proposal: ELAY INDUSTRIAL: ES-100%; MALVESTITI: IT? 100%. The Finance Committee is further invited to authorise CERN to decide either a) to take up a part of, or the complete above-mentioned options should one of the contractors encounter unforeseen difficulties in the fine-blanking or b) in the event that one of the contractors fails to deliver austenitic steel yoke laminations and inserts of the required quality or is so late with deliveries as to jeopardise the LHC construction schedule, to negotiate a contract with GARCONNET (FR), the next lowest bidder, on the condition that GARCONNET agrees to align its price to a level deemed appropriate by CERN.